Marine Cargo Insurance Claims Procedure

Marine Cargo Insurance Claims Procedure

A.      Duty of the Insured / Consignee / Its Agent or Representative

In case of any loss or damage to the cargo, it is a duty of the Insured / Consignee / Its Agent or Representative to take following procedures

1.    Do no give clear receipt on the delivery order but to give such notice of loss or damage

2.    In case of containerised cargo:
-      Check carefully condition of the containers if  it was damaged or holed.
-      Check carefully condition of its seal if numbers is matched with the document or if it was damaged or cut.
-      If it was found damage, Give such notice of loss or damage on the delivery order.
3.    Immediately contact the carriers or its representative to do survey.

4.    Immediately contact THE INSURANCE COMPANY to do joint - survey.

5.    Immediately notify Police in case of traffic accident, theft or other malicious acts.

6.    Take photographs showing details of container, its seal and numbers, its floor, wall and roof where it was damaged and condition of the cargo.

7.    Write claim to the carriers holding them responsible for loss or damage.

B.    Survey & Claim Reporting to THE INSURANCE COMPANY

Claim shall be reported immediately to THE INSURANCE COMPANY or Its survey agent in order to have the damage inspected to conclude the cause of loss or damage. Claim reporting shall not later than 7 days from the time loss or damage noticed.

It is a duty of the Insured to give THE INSURANCE COMPANY or Its survey agent an opportunity to inspect the damage, vessel, interview with the master and crews and other related parties.

C.      Documentation

Claim Form
Original Insurance Certificate / Policy
Original Bill of Lading
Invoice
Packing List
Delivery Order
Official damage / Survey Report
Letter of claim against the carriers and their reply
Estimated cost of repair
EIR (Equipment Interchange Receipt)
Ship accident report and complete of its document
Police report (in case of theft or traffic accident)
Picture of damage

D.      Salvage

1.     It is a duty of the Insured / Consignee / Its Agent or Representative to mitigate the loss and secure the salvageable cargo safe, do not destroy or sell them without THE INSURANCE COMPANY’s written approval.

2.     THE INSURANCE COMPANY for and on behalf of the Insured have a right to sell on tender the salvageable cargo and invite some buyers to quote.

3.     The Insured or Consignee can participate on the above tender.

4.     Terms and condition of the tender and to choose the winner are absolute right of THE INSURANCE COMPANY

5.     Value of salvage is to be paid to the Insured and is to be deducted from amount of claim payable.

E.      General Average

In case of GA the Insured / Consignee / Its Agent or Representative is not authorized to sign Average Guarantee or to pay cash deposit without THE INSURANCE COMPANY’s written approval.